Old Age Pension Scheme for Farmers, Tenant Farmers and Sharecroppers
Gestione coltivatori diretti, coloni e mezzadri, CDCM
Coverage
Mandatory insurance
- Self-employed farmers, tenant farmers and sharecroppers (including agricultural entrepreneurs) provided that the enterprise requires agricultural work for not less than 104 days per year and that the agricultural work is the habitual and prevalent activity (major source of income) for the self-employed farmer; family members of at least 15 years (relatives and in-laws up to the 4th degree) working in the agrarian sector.
Financing
General finances
- PAYG-financed from insurance contributions.
- Partly tax-financed out of general budget.
Contribution rates
- 24% of income gained from agricultural activities, based on the number of workdays (minimum 156, maximum 312 days) and the daily conventional income (set at EUR 59 in 2020); additional contribution of EUR 0.68 for each workday (up to a maximum of 156 workdays per year).
- Temporary exemption of contribution obligation for new affiliates under the age of 40 (100% reduction for up to 24 months).
Administration
- National Institute for Social Security (INPS) collects contributions and manages the scheme for self-employed farmers.
- Supervision by Ministry for Labour and Social Policies and Ministry of Economy and Finance.
Qualifying Conditions
Qualifying conditions
- Same as for old age pension scheme for private sector employees (FPLD).
Early retirement
- Same as for old age pension scheme for private sector employees (FPLD).
Combining employment & retirement
- Termination of self-employment is not a requirement.
- Income from work and pension income can be combined without limitation.
Benefits
Pension benefits
- Same as for old age pension scheme for private sector employees (FPLD).
- Fourteenth payment (14ma pensione): same as for old age pension scheme for private sector employees (FPLD), with a minimum contribution period of 18 years (highest increase with more than 28 years).
Benefit calculation
- Same as for old age pension scheme for private sector employees (FPLD), with pension based on notional contributions, set at 24% of pensionable income (up to ceiling).
- Indexation: same as for old age pension scheme for private sector employees (FPLD).
Taxation and social security contributions
- Same as for old age pension scheme for private sector employees (FPLD).
Coverage
Financing
Administration
Qualifying Conditions
Benefits
Mandatory insurance
- Self-employed farmers, tenant farmers and sharecroppers (including agricultural entrepreneurs) provided that the enterprise requires agricultural work for not less than 104 days per year and that the agricultural work is the habitual and prevalent activity (major source of income) for the self-employed farmer; family members of at least 15 years (relatives and in-laws up to the 4th degree) working in the agrarian sector.
General finances
- PAYG-financed from insurance contributions.
- Partly tax-financed out of general budget.
Contribution rates
- 24% of income gained from agricultural activities, based on the number of workdays (minimum 156, maximum 312 days) and the daily conventional income (set at EUR 59 in 2020); additional contribution of EUR 0.68 for each workday (up to a maximum of 156 workdays per year).
- Temporary exemption of contribution obligation for new affiliates under the age of 40 (100% reduction for up to 24 months).
- National Institute for Social Security (INPS) collects contributions and manages the scheme for self-employed farmers.
- Supervision by Ministry for Labour and Social Policies and Ministry of Economy and Finance.
Qualifying conditions
- Same as for old age pension scheme for private sector employees (FPLD).
Early retirement
- Same as for old age pension scheme for private sector employees (FPLD).
Combining employment & retirement
- Termination of self-employment is not a requirement.
- Income from work and pension income can be combined without limitation.
Pension benefits
- Same as for old age pension scheme for private sector employees (FPLD).
- Fourteenth payment (14ma pensione): same as for old age pension scheme for private sector employees (FPLD), with a minimum contribution period of 18 years (highest increase with more than 28 years).
Benefit calculation
- Same as for old age pension scheme for private sector employees (FPLD), with pension based on notional contributions, set at 24% of pensionable income (up to ceiling).
- Indexation: same as for old age pension scheme for private sector employees (FPLD).
Taxation and social security contributions
- Same as for old age pension scheme for private sector employees (FPLD).
Legal Basis: Laws No. 1047/1957; No. 223/1990; No. 335/1995; No. 311/2004; No. 214/2011; No. 147/2013; No. 232/2016; No. 160/2019; Income Tax Act (DPR) No. 917/1986 (Testo unico delle imposte sui redditi, TUIR).